Sen. Stabenow Speaks Out About Student Loan Cap

Senator Debbie Stabenow from Michigan is a co-author of the “Bank on Students Emergency Loan Refinancing Act,” which allows people to refinance their existing loans.

She joined us live from Washington D.C. to talk about the President’s proposal. 

The White House wants to ease the burden for those seeking a college degree.

Monday, President Obama put pen to paper, signing a presidential memorandum to expand a program that would allow student loan borrowers to cap their payments at 10 percent of their income.

He says the rising cost of college has left middle class Americans feeling trapped.

“Here’s the problem. At a time when higher education has never been more important, it’s also never been more expensive. Over the last three decades, the average tuition at a public university has more than tripled. At the same, the typical family’s has gone up just 16 percent.”

According to the White House, most college graduates leave school with nearly $30,000 of debt.